Ripple XRP EXPOSED – Decentralized or Not?

by birtanpublished on September 15, 2020

So what's up Alex how you doing man I don't know good be good hey man how about that cook tough times you though how about that cryptocurrency though it's been taking off right yeah girl like crypto christ is gonna take off and i have some high hopes got some

Good savings you have been watching the markets been doing pretty well but look look I'm gonna put you on I'm gonna put you on for real like this is serious have you ever heard of ripple XRP yeah I've heard of yeah I've heard of her

Poke before this point is about to take off it's about to move not really that new but yeah I mean Rick was cool I mean these guys are seriously partnering with businesses to take this coin off man this is like the new it's gonna it's

Gonna pass Bitcoin it's gonna pass Bitcoin I mean ripples cool it's not a bad thing it's the worst thing in the world but I think I'm sticking my Bitcoin but you know I like the way Bitcoin was kind of you know put out

There I like the way how you know it has miners they're incentivized to keep the network secure ripple is just a little bit different you know it's not a bad thing I just you know I don't like the way the coins were minted I don't like

How you know ripple labs owns the majority of them and how they have like this weird consensus protocol you didn't do enough research honestly just didn't do enough research you actually have done a lot of research on the coin here

I've spent a lot of time you know I'm just but don't invest my money into random places you didn't do enough research well I've done a pretty good amount of research like I'm pretty confident that you know I know what I'm

Talking about when it comes to the decentralization of ripple they have a very centralized type of coin the way that they released it and minted the coins in the first place and the fact that ripple holds the majority of them

They put it in escrow and very you know I get it they have all these weird tactics to make it seem like it's decentralized but let's just be honest here I mean bitcoins Bitcoin right bitcoins been here for a while and it's

Been proven over time Ripple not really a lot of the bank's you know I can go on forever man I've done a lot of research ah what's going on everybody Alex back with

Another cryptocurrency video and today we're talking about ripple XRP is it centralized or is it decentralized okay before we get started guys I do understand that I am going up against and talking about an entity as much

Bigger larger than I am have a lot more money a lot more power and a lot more influence I originally did not want to make this video the reason I'm making it now is because I'm getting a whole bunch of negative backlash from a video a 15

Minute video which specifically tried to stay away from the centralization topic in its entirety okay I simply talked about how ripples centralized for like less than a minute for less than a minute out of a 15 minute video I

Actually gave pretty good price prediction for ripple you can 14x your money you know with ripple right I talked pretty good about it in my opinion from my standpoint from what I know I talked good about it and I got

All this negative backlash right 43 down votes now a whole bunch of negative comments of people saying I don't know what I'm talking about I'm an idiot I should do more research before I make a video keep in mind guys I've been in

Cryptocurrency for six years okay now when ripple first came out into the media right because obviously it's been out for longer but when it first blew up and everybody started talking about it you know it was the general knowledge

Was from everybody to cryptocurrency we all knew that it was centralized everyone knew it like it's just the thing that you know that was the bankers coin alright that was the bankers coin and everybody knew that and I thought

That was kind of the general consensus still but after making this video obviously that is shifted a little bit a lot of people are talking about you know and maybe they're not people right which brings me to my next point that's

Another thing I want to talk about I'm talking about a big entity here guys with a lot of money so if I get like a strike on my youtube channel it gets banned for some reason right if I get my account hacked if this vote video gets

Downloaded into oblivion whatever you guys go join my private group right join my private good cuz they can't hack that and you know let's try to keep this you know III don't think it's gonna happen but there's always

That chance I will not be surprised right why because I did a quick Google search you know after getting all these negative comments these crazy weird negative comments cuz you could look at my videos guys go look at my channel

Look at my other videos obviously not everybody agrees with me I get like you know three down votes for like a hundred up votes right you know not everyone agrees with me but for some reason in this video it was

An outlier people were hating on it and I did it the same way I did other videos so you know I was skeptical I was like yo what's going on and these like real people and after doing some research they have ripple I don't know if it's

Ripple I don't know if it's XRP I don't know if some random guy on internet but someone has you know a history of doing this especially on Twitter right on Twitter they have a history of doing this and this is not the first article

Guys I'm not gonna dive deep into this article here you can go do the research for yourself it's a real thing they're trying to hack people if you talk negative about XRP you know they're bashing you hitting you with thousands

Of tweets I'm not gonna jump into it you guys can go look at it for yourself but I don't need to jump into it why because I literally experienced it and experience is the best type of knowledge in the whole entire world now before we

Move forward guys I kind of wanted to let you know all that stuff you know before we jump into this video so you understand what's really going on here it's a little bit's a lot bigger than not Who I am right

But before we get started if you haven't already subscribed to my channel my name is Alex and I talk about everything internet entrepreneur okay you're looking to make money on the internet this is definitely the channel for you

All you have to do is hit that subscribe button as well as the push notifications bell so you can get the videos first and I try to keep it as real as possible even if my financial future depends on it right I make all my money off of

Youtube even though that might you know they can hack my account or do something very horribly wrong to me I'm have an obligation to my followers to give you the complete and total truth regardless right cuz that's the most important

Thing by far so that's what we're gonna jump into you know with this centralization or decentralization topic by the way guys you know I did not want to make this video you know you guys forced me to do

It ripple community so maybe you don't know what's really going on well maybe you know go to the comment section below we can Duke it out you know I have been done my research four years ago okay and we could talk about whatever you want to

Talk about you know the consensus mechanism we can talk about the estro accounts anything you want I'm gonna dive deep into this video maybe it gets a little bit too complex for certain people if you want to comment leave a

Comment below ok so let's jump into it not only the bot thing let's just ignore that even though that's a big red flag let's just ignore that all right let's just ignore that say some random guy just you know loves XRP and that's what

He did so let's jump into this article right here from the medium calm very very good article this is gonna be the you know the general like what I'm gonna follow and it's gonna jump into some other articles I leave them all in the

Description so you guys can read them for yourself because I'm not gonna read all of them on this video for purposes of length right so I'm not gonna read this you know kind of summer here you can read it for yourself but the first

Thing I want to do is define decentralization decentralization is kind of like a philosophical term that people use there's no in you know definite definition of it but when I define decentralization I define it by

Looking at Bitcoin why because it's the biggest coin in the world it's been here for the longest – stood the test of time ok it's decentralized now there's a lot of problems with it which I will also explain a lot of people gonna say whoo

Bitcoin centralized because of the miners ok of course we're gonna talk about that too we're gonna talk about all of that ok so guys keep an open mind here ok if you're not a bot and you're a real person keep an open mind because

I'm not just jumping to the fact that you know I hate Ripple I'm just explaining it's different this simple is that it's just different ok so first thing let's define decentralization no single point of failure so if one node

Gets knocked off you know you know all the notes can keep running right that's a feature of Bitcoin you can't just demolish it and everything goes I mean there's a lot of people say you can you know there's a

Lot you can get the government involved and go guns but essentially Bitcoin that's how it works then the nodes if they go if one goes down you know you'd have to take over 51% of Bitcoin to actually take it down supposedly ok

Equality anyone should be able to participate in you know mining Bitcoin now I will admit Bitcoin is a little bit more you have to have a lot of computing power to mine your own know to have your own node but

You could partake it in a pool all right a pool of miners freedom of permission and verification so this is kind of like saying you know equality right did all the nodes are gonna have equal rights right you're gonna be able to

Participate in it and then fairness right so this is where ripple like really lacks where you know fairly distributed to you know the economy right everyone that's getting it how would the coins they were pre minted a

Single entity controls more than 50% of the voting power Ripple 78% of all available coins are owned by the richest hundred addresses and there's no native incentives for nodes such as mining rewards for Bitcoin the cryptocurrency

Ripple one could say according to these values is almost entirely under the control of ripple this is what we mean by centralization but I'm not just talking right I did my research right so let's jump into it so so at its core

Ripples consensus is based on trust each node is connected to other nodes and as soon as a transaction is accepted by a certain number of these nodes it is now accepted in this way the network comes to a consensus right okay so now we go

To the creation and distribution of X R P tokens in 2013 we know like we've talked about a hundred times 100 billion tokens were created 80 billion was given to the new founded company ripple labs right they saw this problem escrow we're

Gonna talk about it right 20 billion was given to the three founders chris larson 9.5 billion Jed's McCaleb 9.5 billion one bill whatever they got the top guys got the you know a lot of the XRP right now when

It reached this all-time high of three dollars keep in mind Chris Larson's assets briefly rose over 50 million billion dollars he was one of the richest people I said million at firstbut billion dollars one of the

Richest people on earth from cryptocurrency he owned a lot of them okay there's a reason why he was one of the richest people okay this part right here is saying that they basically made you know the escrow they

Made an account specifically well so they claimed and we're going to talk about it they basically made it a cap of a smart contract to lock up what was it 50 billion XRP so that they don't

Automatically get dumped on to the market by the founders and ripple labs right so they locked it up kind of like bitcoins locked up it's not locked up it's not even made yet but the way Bitcoin works is that it gets released

If you know they're minted okay so they kind of wanted to copy that right and this is where everybody talks about the escrow accounts right so there's 55 1 billion amount right XRP in these contracts now keep in mind this was not

A hundred percent honest and we're gonna explain that right here so right here with 55 contracts 1 billion XRP was frozen in each right and it's supposed to release 1 billion each month right and sold okay they're supposed to sell

The ripple and then whatever ripple is not sold for that month now this is from coming from their article I'm going to leave the article for you guys for whatever ripple is not sold they take that amount and they put it at the end

Of the 55 month or the 55 contract so it would be so let's say for example half of them get sold 500 million gets sold the other 500 million is supposed to go to the 56 contract the end it's supposed to go back in the queue right and this

Is what they said from their website but they were lying in a lot of ways about this escrow now the the general thing I want to get here you know get across to you guys is that if it quacks like a duck if it looks like a duck it's a duck

Okay okay okay keep that in mind if we see a lot of things going wrong you know it's a duck just keep that in mind it's a duck okay so let's go to point metrics right so coin metrics basically did an analysis on the escrow system okay they

Looked into it for themselves because you know if it quacks like a duck right and they basically found a lot of misrepresentations when they did their research coin metrics found that several important discrepancies between the

Publicly reported by ripple and what was visible to the XRP ledger which by the way it's really hard to view the xrp ledger not as hard on bitcoin for some reason they're not as transparent so so if we look right here to quarterly

Markets reports underreported the number of xrp release from the escrow by a total of two million XRP eighty-four million dollars at current prices okay the escrow queue is implemented differently than announced leading to a

Faster future release of escrow funds compared to the announced schedule so they released more coins and they said they're releasing them faster than they said right now they're here's the third problem other parties potentially

Associated with ripple have released 55 million XRP from an unknown escrow address not connected to the main ripple of counsel other sketchy things okay sorry about that guys back back to the back to the article on chain data it

Shows that fifty five billion XRP were escrowed on December 16 2007 while the announcement article mentioned that 55 contracts of 1 billion XRP was supposed to be implemented right so supposed to have 55 different contracts with 1

Billion in each now that was a lot they actually did 25 contracts with 1 billion XRP right and then they split the other you know I guess whatever the 57 contracts are that's pretty sure I'm wrong about that but the other amount

That they're supposed to have they split it in half look right here and 260 contracts of 50 million xrp right ok so that's 1 right what was that noise what was that okay let me just I'm trying to ignore it guys I'm trying to ignore it

We found two more reports Ripple missing reported the amount of XRP returning to its escrow scheme so when they didn't sell all the ripple both times over reported the amount returned by a hundred million XRP therefore under

Reporting the number of XRP release further evidence of this over reporting as president the president appendix you know go down there you can go look into it more so let's keep going ok so now this is proof that they said

Specifically they didn't go by with the words that they put out and their articles right ok this is ok so we this is what they said will then return whatever is unused at the end of each month back into the escrow

Queue okay a queue means that it's a set you put it in the back of the queue okay it says right here back of the soq the coin Dex article posts the same day of the announcement of the of the supply escrow scream supported assumption so

Coin desk announce an article saying the same thing then at the end of the month whatever XRP is unused will be added to the end of the escrow queue in the form of additional month long contract starting this process all over so you're

Supposed to be contract 56 a technical article published on the day before the set up of escrow scheme all this also confirms this assumption so they're basically saying that in like ten different ways a lot of different places

Confirmed that they were gonna take the unsold XRP and put it towards the back of the queue I'm trying to say explain is very in simple terms for people that really don't understand technical stuff right on chain data however tells a

Different story it seems that instead of locking unused funds into the first slot the first month with no existing escrow they locked it in such a way to maintain the fixed amount of 1 billion XRP escrow per month so you see where it's very

Vague right they're not explaining it the right way you can't trust what they say right you have to read it for yourself and verify with the blockchain which by the way blockchain is very hard to verify on XRP right a lot of people

Really don't understand it now just a couple of days ago as you can see here 1 billion XRP tokens from escrow a wallet they transferred it you know somewhere and then they transferred it back again right and it's not just me guys it's not

Just me the ripple community you know whoever's watching this video that it's not a robot the ripple community they're trying to take actions again they'd be signed up a petition stop dumping ripple this was okay look December 2nd a sign a

Petition stop dumping ripple ripples place has been steadily decline in the past few months although several new partnerships have been established xrp community previously threatened the company's executives with staging a

Takeover if they don't start paying attention to use concerns however the company insists that selling xrp to investment firms is the only way to help that I mean yeah that's true maybe that is how you help the ecosystem grow and

Fund your own operations but that's not what you said when you agreed to the escrow account basically what is that noise what is that noise do you guys hear that it's crazy it's just crazy okay so if we come back

Over here and now they say that they got you know the best developers that's great we don't even care about that we're talking about the the nodes here so the nodes operated by downloading it so so basically bit Mex right did like

An in-depth you know analysis on one node to see exactly how it works and operates right and this is the conclusion they came up to current came up with the node operated by downloading a list of five public keys from the v1

Triple comm server these five keys are attributed to ripple comm the software points that four out of the five keys are necessary for a proposal to be accepted since the keys are all downloaded from the ripple comm server

Ripple essentially has full control over the ledger and moves forward now they came up with a solution to this because I mean this is I guess the you know these guys are sketchy in the past I guess so they're not gonna want to liar

Always a liar but you know by the end of 2017 ripple agreed to bit Max's findings the company writes that in the post they deliberately chose to be the most trusted validator operator on the network so they can go through the first

Phase of the XRP development but they fix that right they fixed it unique no lists in which the trustworthy ripple nodes are located provided that these notes fulfill certain conditions dictated by ripple so basically ripple

Owns not only like less than seven percent of all the nodes right but this is something that I didn't even read in this article is just pretty obvious but guys the nodes are not incentivized by ripple basically the nodes are doing it

On a voluntary basis right they're doing out on a voluntary basis somebody I don't know can come and incentivize them to do what they want and pay them now who's likely to do that somebody with a lot of money who's

Somebody that might have had 50 billion dollars I don't know it doesn't it doesn't take a rocket scientist to put this together guys like it does not take a you know you can lobby I don't know whatever let's just read the article

Right it is therefore positive to note that ripple is indeed reduced by its influence on consensus-building you know they're saying that they basically fix the problems right bitcoins a little bit different now let's say let's talk a

Little bit about Bitcoin because I know a lot of people are gonna jump into that topic um you know I'm not bashing them I'm just telling you guys that ripple is just a different different type of cryptocurrency it's a way to send money

Across you know across the globe it's not a decentralized blockchain though okay so let's jump into how Bitcoin works so basically bitcoin is pretty centralized I will admit right Bitcoin is centralized in a way that you know

They have a mining monopoly monopoly right so there's these Chinese farmers that own the majority of all the power on the network and they get the majority of the coin so they can kind of manipulate the market in a way that they

Want right see the biggest difference here in my opinion is the fact that when you're mining you're at least getting incentivized by Bitcoin to keep it going at least Bitcoin saying here's a Bitcoin for mining me the proper way thank you

You know these guys they made it to the top for a reason they acted first they invested more money into Bitcoin to get these huge mining operations right don't get me wrong but you know there would be no incentive for them to attack

Themselves because they would lose a ridiculous amount of money a 51% attack is likely to not happen because they make more money mining the coin see with ripple they do not get incentivize if they don't get paid to keep the network

Secure they're gonna go with whatever pays them it's as simple as that so at least we know who's paying these guys that mind Bitcoin we don't know who pays the nodes on on ripple does that make sense to you guys

Yeah it's centralized decentralized in a different way but this is centralized in a very critical way right this is very critical centralization and I do believe that there can be other coins that come out like raven coin for example is

A sick resistant so a sick miners can't take over the whole protocol or they can't just mine and mine it and you know have that centralized you know mining like Bitcoin right there is ways to solve it but you know having ripple

Owned and be able to manipulate the majority of the nodes is pretty ridiculous right and it explains the best in this article basically talks about how you know ripple continues to be um ripple continues to be used and

Highly scalable it would be in the hands of a small cartel that's the best way to put it yeah they have all these ways of covering it up you know yeah they have an escrow account that's slowly but they're manipulating that they can

Manipulate it why because they have control of the nodes you know yeah they don't have control over all the nodes but who is incentivizing them the people with the money who has the most interest into incentivizing a ripple Network the

XRP Network ripple I don't need to dive into the technicals to tell you guys that if it quacks like a duck if it wraps like a duck it's a duck it's as simple as that but the purpose is this video I'm gonna keep it short and simple

Okay now if I get blown up with negative comments down votes you know I took I made my choice right that's that's I wanted to make this video for my followers because I

Have that obligation to them you make your own conclusions okay you go look at the articles you go look at ripples articles I read you know the ripple report right I read their report you know I looked at all perspectives but to

Say that you know some of these comments I'm ridiculous I've never done any research in my life that ripple is the most decentralized coin in the world you know that there isn't problems with ripple and the fact

That you know they you know it's funny because these businesses are not even accepting XRP they're accepting the technology of ripple okay I said that in my last video I made a lot of people mad but this is just the truth you draw your

Own conclusions I go with the oh geez it's as simple as that for me if you like the quality is content hit like if you don't leave some constructive criticism below we can Duke it out subscribe for more video updates and

Like I always say if you don't get with this technology you will get left behind thanks for watching this video catch you in the next one

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